Ministry of Coal
The Coal Mines (Special Provisions) Act, 2015, was enacted in response to the Supreme Court’s cancellation of coal block allocations. This Act provides a legal framework for the auction and allotment of coal mines, ensuring continuity in coal production, and promoting optimum utilization of resources. The act also addresses the rights and obligations of prior allottees and establishes the role of the Central Government in this process.
Act Background and Ministry Under Which This Act Is:
The Coal Mines (Special Provisions) Act, 2015, was enacted to address the consequences of the Supreme Court judgment which canceled the previous coal block allocations. It was aimed at providing a transparent and efficient mechanism for the reallocation of coal mines and to ensure uninterrupted coal production. Though the act does not specify a particular ministry, it functions under the Ministry of Coal in India.
Enactment Date, Number of Chapters, Number of Sections:
The Act was enacted on March 30, 2015. It has six chapters and 33 sections, along with four schedules, covering various aspects of auction, allotment, rights of prior allottees, and the powers of the Central Government.
Act Governed By:
The Act is governed by its own provisions, which outline the framework for the auction and allotment of Schedule I coal mines. It empowers the Central Government to conduct auctions, make allotments, and to appoint a nominated authority and designated custodians for effective administration. The Act also specifies the legal framework for treatment of prior allottees.
On Whom it is Applicable:
The Act applies to the whole of India and primarily relates to the Schedule I coal mines, prior allottees, and new bidders or allottees. It applies to the Central and State Governments, government companies, corporations, and private companies involved in coal mining operations.
Penalties/Punishments:
The Act prescribes penalties for various offences:
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Imprisonment up to two years and a fine of at least one lakh rupees per day for obstructing the process.
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Penalties for failing to comply with the Central Government’s directions with fine, or imprisonment or both.
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Offences by companies, where directors or officers can be held responsible.
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Provides guidelines for dispute resolution.
Important Pointers:
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Auction and Allotment: The Act outlines procedures for the auction and allotment of coal mines to successful bidders.
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Prior Allottees: The Act defines the eligibility and liabilities of prior allottees, allowing them to bid again after paying additional levy.
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Government Companies: It allows allotment of coal mines to Government companies or corporations.
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Nominated Authority: The Act establishes a nominated authority to oversee auctions and allotments.
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Designated Custodian: It provides for the appointment of a designated custodian for managing coal mines.
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Compensation: It outlines the method of compensation for prior allottees.
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Land Acquisition: It addresses land acquisition in accordance with The Right to Fair Compensation Act, 2013.
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Additional Levy: It defines and enforces the collection of the additional levy.
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Overriding Effect: The Act has an overriding effect, superseding other existing laws.
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Dispute Redressal: The act provides a tribunal for dispute resolution.
Act Copy: